Lender That Will Allow A Seller Second?

Kimtd profile photo

Hi everyone.



I just found a deal where the builder (who builds single townhomes for individual investors but is stuck with inventory, thus wants to unload all as commercial apartment) that will carry a large chunk (25%+) second after 25% discount. He even told me that he would "forgive" the second after closing.



Questions...



1) Is there a lender that will allow seller second on 40+ units (mix of townhomes and duplexes) where the seller carries 25-30%?



2) What is the tax ramification to the seller and me (I.e. buyer) when the note is forgiven? Will this count towards as income for me?

Comments(1)

  • cjmazur8th August, 2008

    I think you really have to shop and see.

    The last I tried wamu would allow a seller 2nd if the 1st was <80% ltv.

Add Comment

Login To Comment